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Slow week so far.... But I expect things to move more later this week. Right now 30 year fixed is holding at 5.875% for best credit/largest loan borrowers. On the "not so good" side of things, FannieMae has announced that they're going to again tighen up qualifying (credit scores and debt ratios) in their system on June 1....ST 5/12/08
Quiet week....and our stats aren't so bad.... Came across some Mar 2008 status compiled by MLS. Average "days on market" for homes for sale was 38, and average selling price was 93% of list price. Those seem like pretty good status to me, and much better than the gloom and doom national averages that are always quoted.....30 yr fixed rate is stuck at about 5.875%. Not much movement this week so far....ST 5/7/08
Employment Effect.... Last Friday's employment report showed a lesser drop in jobs than expected, and the unemployment rate also unexpectedly fell to 5.0%. The result was a jump in mortgage rates.......I guess the market thinks the economy is quickly strengthening. Today/Monday rates are flat with 30 year stuck around 6%. I think rates go a little lower from here over the next 30 days....ST 5/5/08
Why the Fed May Not be Done.... From their release: "Financial markets remain under considerable stress, and tight credit conditions and the deepening housing contraction are likely to weigh on economic growth over the next few quarters." This tells us the Fed is till very worried about the effects of the banking crises, housing mess, and credit crunch. This dealy trio is so overwhelming that the Fed may not only cut more, but may keep rates low for a very long time to come. ST 5.1.08
They Cut Again.... Fed lowered the overnight bank rate by .25% to 2%. That means that the Prime Rate will drop to 5% and those with home equity lines of credit will enjoy another small decrease in their rate.....No clear impact on fixed mortgage rates as of yet. While we might get a small dip down over the next couple of days, the Fed made it clear that inflation is out there and as that becomes more front of mind, long term fixed rates will rise....ST 4.30.08
Easing and the Fed.... Rates finally beginning to ease back some. 30 year at about 6.0%. Fed is meeting today and tomorrow and will tell us at 1:15 if they're going to cut the overnight rate again. Most expect a .25% cut and then no more for at least awhile. Also, Fri. is the Employment Report which never fails to move the market. ST 4/29/08
Toll Free: 888.768.8496 Main Telephone: 816.942.9800
The Process
For all types of mortgage loans, we've made the process convenient for you. The steps in your mortgage approval and closing are:
Throughout the whole process, you'll receive status updates on your loan via mail or email. This communication is designed so there are no surprising figures at closing.
Step 1-Application
We offer several ways in which you can apply:
- Download and complete the application on this website . Then fax it, mail it, or overnight it to us
- Call us and we'll fax or overnight you an application package for you to complete and fax or overnight back to us.
Step 2-Rate Lock
We can lock in your rate once you have the property to be financed identified. You can phone in or email your lock information. We'll need:
- Your full name
- Social Security No.
- Address of the property
- Mortgage amount
- Purchase price or estimated value of the home
- Rate requested
- Number of days that you wish to lock for
We will then e-mail or fax you confirmation of your rate lock.
Step 3-Processing
Once we receive your application we:
- obtain a report of your credit history
- submit your application for underwriting (automated system)
- verify information on the application such as employment history, income, and assets
All of the above is normally completed within 24 hours!
Step 4-Pre-Approval Letter
Once the processing steps above are complete we will issue you a pre-approval letter. If you are purchasing a home this letter is a valuable tool for you to support your purchase offer and to document that you are a pre-approved buyer.
Step 5-Appraisal
The next step is for us to obtain an appraisal of the home that you are buying or refinancing. The home will be appraised by a professional selected by us in the market area in which the home is located.
Step 6-Title and Closing Services
A title update for the property and your closing/signing will be arranged through a title company/closing agent in the city in which the property is located. The closer will oversee signing of the loan documents by you as well as receipt of the new loan funds and disbursement to the appropriate parties.
Reach us at:
Toll Free: 888.768.8496
Main Telephone: 816.942.9800
Fax: 816.942.3092
License #MO 06-098 KS 1996-01
Email: info@southwoodmortgage.com
